Companies both in Japan and around the world have begun to feel the sting of supply chain disruptions resulting from the catastrophic March 11 earthquake and its aftermath.
In addition to the damage done to factories in northeastern Japan by the quake itself, companies must contend with ruined roads, fuel shortages, and rolling power blackouts. Many companies are not sure when some of their facilities will be able to resume production, creating uncertainty for companies further down the supply chain.
"This is serious and it's still difficult to evaluate," Nissan Motor Co. Ltd. (PINK: NSANY) Chief Executive OfficerCarlos Ghosntold Bloomberg News. "You have the earthquake, you have the tsunami, rolling blackouts, and fuel shortages hitting at the same time, and they aren't only hitting the car manufacturers, but also the suppliers and the dealers."